In business, it is important to plan and carry out research in order to anticipate what will occur at the end of the year. The profit (loss) spectrum for a certain company, with corresponding probabilities is shown in Table 2: Table 2. Profit/Loss with its probabilities Profit (in PKR) Probability -25000 0.1 0 0.25 25000 0.05 35000 0.03 45000 0.01 55000 0.02 105000 0.35 175000 0.09 250000 0.1 Compute the mean and standard deviation of the profit.
In business, it is important to plan and carry out research in order to anticipate what will occur at the end of the year. The profit (loss) spectrum for a certain company, with corresponding probabilities is shown in Table 2: Table 2. Profit/Loss with its probabilities Profit (in PKR) Probability -25000 0.1 0 0.25 25000 0.05 35000 0.03 45000 0.01 55000 0.02 105000 0.35 175000 0.09 250000 0.1 Compute the mean and standard deviation of the profit.
Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter13: Probability And Calculus
Section13.CR: Chapter 13 Review
Problem 23CR
Related questions
Question
In business, it is important to plan and carry out research in order to anticipate what will occur at the end of the year. The profit (loss) spectrum for a certain company, with corresponding probabilities is shown in Table 2:
Table 2. Profit/Loss with its probabilities
|
Profit (in PKR) |
Probability |
|
-25000 |
0.1 |
|
0 |
0.25 |
|
25000 |
0.05 |
|
35000 |
0.03 |
|
45000 |
0.01 |
|
55000 |
0.02 |
|
105000 |
0.35 |
|
175000 |
0.09 |
|
250000 |
0.1 |
Compute the mean and standard deviation of the profit.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 4 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.Recommended textbooks for you
Calculus For The Life Sciences
Calculus
ISBN:
9780321964038
Author:
GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:
Pearson Addison Wesley,
Calculus For The Life Sciences
Calculus
ISBN:
9780321964038
Author:
GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:
Pearson Addison Wesley,
Holt Mcdougal Larson Pre-algebra: Student Edition…
Algebra
ISBN:
9780547587776
Author:
HOLT MCDOUGAL
Publisher:
HOLT MCDOUGAL